Pink turns adverse world ‘upside down’
Entitled ‘Turning the adverse world upside down’, Pink has vowed to increase standards in the adverse market with its Australian-themed year-long campaign.
Offering a maximum valuation fee of £66, in addition to adverse market tips, the lender is also producing an ‘adverse guide’ to provide brokers with advice on how to capitalise in the adverse market in a compliant way.
Dev Malle, associate director of sales at Pink, said the decision to educate brokers had been swayed by FSA findings into the sector in 2005 and argued Pink’s service would increase broker knowledge and compliance within the sector. “Our service is unique as we have a good reputation in the market; through our packaging panel there is a diverse choice to choose from. There are no onerous conditions and there is support along the way, regionally structured.”
“If the case can’t fit into the original specifications then we can replace the case at no additional cost to the client,” he said.
Malle added that brokers should not be concerned about the enhanced service cutting into proc fees, with fees for heavy adverse cases set at 1.3 per cent.
Chris Cummings, director-general of the Association of Mortgage Intermediaries (AMI), welcomed Pink’s introduction into the adverse sector and praised the lender for its approach to improving industry standards: “The overall aim is to raise standards and give clients fewer causes for complaints, with the Ombudsmen dealing with fewer complaints. Issues of quality of advice and suitability all need to be discussed and this campaign should be welcomed.”
He added the regulator and AMI would be looking for an improvement of results during the next stage of mystery shopping in the adverse mortgage market.